Reforming Agriculture and Economic Reforms

Description

Agriculture dominates change in India through its causal links with factor and product markets. It employs 60 percent of the labour force and contributes 26 per cent of the gross domestic product. In the poorer states, its contribution to the domestic product is close to 40 per cent. Low productivity in agriculture has led to the concentration of the poor in this sector. Due to the sheer size of the agricultural economy and the importance of its major products in the diets of the poor, gains in agricultural productivity have significant potential impact on poverty. Theoretically, it is possible to reduce poverty as well as expand the domestic market for industry by raising labour productivity in agriculture and spreading its gains among the low-income groups. Modeling of the linkages between agricultural and industrial growth has shown that a 10 per cent increase in agricultural output would increase industrial output by 5 per cent and urban workers would benefit by both increased industrial employment and price deflation. This book “Reforming Agriculture and Economic Reforms” explains how agriculture growth translates into poverty reduction. This book is written in lucid manner containing all relevant facts and figures which is useful for every of it users.